New Zealand Tax
Personal Income Tax Rates
2009/2010
Taxable Income $ |
Tax Rate % |
| 0-14,000 | 10.0 |
| 14,001-48,000 | 17.5 |
| 48,001-70,000 | 30.0 |
| Over 70,000 | 33.0 |
Company Tax Rates in New Zealand
Company tax in New Zealand is currently levied at 30% - falling to 28% on 1 April 2011. Not surprisingly those self employed that can register as companies do.
All worldwide income is taxable whether your funds/capital and investments are held in New Zealand or elsewhere. There are penalties for those not declaring offshore income if the Tax Department catches you. However where New Zealand has a double tax agreement you will receive a tax credit on the tax paid at source and you will not pay tax a second time on it in New Zealand.
New Zealand operates a consumption tax on all goods and services consumed here. Called the Goods and Services Tax (GST), it is levied on everything (except private house sales and financial services) at a rate of 12.5 %.
There are also a raft of less significant taxes such as fringe benefit, entertainment and ACC which we will not detail here. There is no capital gains tax. Suffice it to say that Mr. and Mrs. Average New Zealander pay around 28% of their income in either direct or indirect taxes. This is much lower than in most other developed countries.
To have a net income of $30,000 per year means a gross household income of around $45,000. To see salary guides and various other tax resource pages, see our Useful Links on the top right of this page.
